The Industrials SPDR (XLI) and Finance SPDR (XLF) are two of the big six sectors in the S&P 500 and both are moving in the right direction: up. The Industrials sector accounts for 9.32% of the S&P 500, while the Finance sector accounts for 13.... READ MORE
It works like a charm. Wall Street places their bets ahead of earnings season, then the solid results pour in. Shocking? Not really. That's a big advantage to have - to be able to meet with management teams ahead of earnings reports (before the "quiet period"... READ MORE
Recently, I received an email from a reader who basically said he found that, if he traded in a bull market, he made money, whereas when he traded in a choppy or bear market, he lost money. The lesson learned is that, despite the best attempts to find the best... READ MORE
Scan results were a mixed bag of different sectors today. The charts that I found the most interesting were those that had some bullish flag formations. Not every stock today is showing that bull flag formation, but the others still look enticing. I'm personally holding off on adding... READ MORE
* The Dow Jones and MSCI World Stock Indexes/ETF Poised to Move Higher * Rest of the World Emerging * Europe, Japan and Emerging Markets Looking Positive The Dow Jones and MSCI World Stock Indexes/ETF Poised to Move Higher US indexes have rallied sharply in the last week, but so have... READ MORE
In this episode of DecisionPoint, Erin covered the major indexes and DP indicators, taking a deeper look at the Rydex Ratio (which is showing very bearish sentiment in place). Meanwhile, with this week marking the anniversary of both the 1929 and 1987 market crashes, Carl took us back in time... READ MORE
On this episode of StockCharts TV's The MEM Edge, Mary Ellen reviews new areas showing critical strength and the ways in which you can capitalize. Additionally, she discusses stocks that are setting up nicely going into earnings, as well as those that have already reported. This episode originally... READ MORE
STOCK INDEXES NEAR OLD HIGH...Stocks around the world are trading higher this morning. Chart 1 shows the S&P 500 nearing a test of a trendline drawn over its July/September highs. All other major stock indexes are also trending higher. A big drop in Boeing (BA), however,... READ MORE
The RRG chart above shows the relative position for US sectors based on last Friday's close. The sector that stands out most at the moment, at least for me, is Consumer Discretionary. After initially rolling over inside the improving quadrant, this sector "hooked" back on track... READ MORE
There's been a lot said and written about the struggles of the FAANG stocks. Don't let any of it fool you. The only FAANG stock reeling in my view is Netflix (NFLX). In last week's "Q3 Earnings Sneak Preview", I said I... READ MORE
Growth stocks and Income (Value) stocks often perform in opposition to each other. When the growth theme is strong, the value theme is lagging. On a secular scale two time periods come to mind. From about 1977-83 growth stocks dominated with the raging IPO market signaling the conclusion of the... READ MORE
The Indian equity markets had a strong week, making a steady upside move and ending the week with decent gains. In the week before this, the NIFTY had defended its crucial support levels of 200-DMA on the daily charts and the 50-Week MA on the weekly charts. After successfully defending... READ MORE
While the S&P 500 and large-caps hold up well, small-caps and mid-caps continue to trade mixed. This suggest that the average stock is trading mixed, some up and some down. Even though we are not in a bear market environment, stock picking is challenging right now and we... READ MORE
Yes, this is personal. I'll share my own portfolio experiences from the past 25 years. Feel free to embrace those elements that strike you as most appropriate to your investing style. First, a few ground-floor definitions before I get specific on the five reasons that motivate me to... READ MORE
The breakout above the short declining tops line last week was extended upward this week, and that has kind of messed up my double top scenario. Now it appears that a triple top may be in progress, and the expected outcome for that is really no different than for a... READ MORE
On Friday morning, Tom Bowley, Chief Market Strategist of EarningsBeats.com, and Mary Ellen McGonagle, president of MEM Investment Research, conducted a webinar that included identifying stocks reporting earnings next week that could make significant moves. It was fascinating listening to these two seasoned pros as they displayed charts on... READ MORE
The lack of new highs may seem like a concern, but one cannot talk about new highs without also looking at new lows because there are two sides to the story. The S&P 500 is within 2% of an all time high and there were just 28 new... READ MORE
The S&P 500 earnings for 2019 Q2 were finalized a few weeks ago. The following chart shows us the normal value range of the S&P 500 Index, indicating where the S&P 500 would have to be in order to have an overvalued P/E... READ MORE
Editor's Note: This article was originally published in John Murphy's Market Message on Friday, October 18th at 4:23pm ET. Chart 1 shows the Invesco US Dollar Index Fund (UUP) falling this week to the lowest level in two months. Most of that drop has come... READ MORE
DOLLAR FALLS AGAINST EURO AND POUND...Chart 1 shows the Invesco US Dollar Index Fund (UUP) falling this week to the lowest level in two months. Most of that drop has come against the Euro and British Pound. Chart 2 shows the British Pound rising to the highest level in... READ MORE
The S&P 500 SPDR (SPY) hit a new high in July and then moved into a trading range the last few months. Momentum turned down during this trading range and this is perfectly normal during a consolidation. Today will look at a weekly chart pattern taking shape and... READ MORE
Earnings season is, by far, my favorite time of the year. It occurs four times a year and provides a significant number of trading opportunities if you know what you're looking for. My first piece of advice is this: Not all gaps are created equal. Many traders consider... READ MORE
Earnings season began this week with over 95 companies reporting their most recent earnings reports. By all accounts, it's been quite a positive season so far, with most companies coming in ahead of estimates and the markets responding warmly. One of the biggest winners has been a small-cap... READ MORE
I've begun to incorporate the weekly charts in the Diamond Reports. When I get a large amount of scan results, I find that it helps to narrow down the field by looking at a CandleGlance of the entire list and deleting the obvious "not ready for primetime&... READ MORE
HEALTHCARE CONTINUES STRONG WEEK...Healthcare is the day's strongest sector for the second time this week. Chart 1 shows the Health Care SPDR (XLV) trading above a falling trendline drawn over its July/September highs; and putting the XLV close to the highest level in nearly four months.... READ MORE
Today's report on StockCharts is short because the full report can be found at my new website, TrendInvestorPro.com. More details below. For now, I will leave you with the Core Emerging Markets ETF (IEMG) as its technical picture improves. The chart for IEMG looks similar to the... READ MORE
In the past week or so, I've seen a few headlines flying by mentioning the semiconductor index ($SOX) and an alleged breakout. In response, I checked out the chart of $SOX, as printed above, in combination with relative strength versus SPY. What I see is a pretty big... READ MORE
October volatility in the banking industry ($DJUSBK) has been nothing short of crazy! On September 30th, the DJUSBK stood at 457.39. A little more than two weeks later, we show an index value of 460.82. No big deal, right? Well, October began with that infamous ISM manufacturing number... READ MORE
We, including myself, are always talking about offensive and defensive sectors, sector rotation from offensive to defensive, etc. Offensive sectors are the sectors that will do very well - and usually outperform - when the market goes up, while defensive sectors are the sectors that outperform when the market goes... READ MORE
The "Chart Breakouts" Scan returned about nine different home builder stocks. I didn't care for all of them, but I did pick out three for your review. This scan generally pulls stocks that had monster days. Consequently, you may need to wait for a pullback to... READ MORE
It's only Wednesday, but we've already had quite a few Scoreboard changes this week - BUY signals all around. The Scoreboards would suggest all-time highs should be no sweat, but the short-term indicators aren't on board with that analysis. The VIX is also beginning... READ MORE
* Pound is in a Long-Term Secular Bear Market * Crossing of the 200-Day Starts the Ball Rolling for a Primary Bull Market * Pound Set to Break Against the Euro Pound is in a Long-Term Secular Bear Market Chart 1 shows that the British Pound has been in a secular bear market... READ MORE
In this week's episode of DecisionPoint, Carl spent a few minutes analyzing a six-month chart of the SPX, after which Erin and Carl discussed the lack of support this recent rally is showing. Erin followed up with sentiment and DecisionPoint indicators, while Carl took his discussion of the... READ MORE
Software stocks peaked in late July after posting phenomenal year-to-date returns. The August dip in the markets hit this group particularly hard and, unlike other areas, it has been slow to recover. The good news, as you can see below, is that these stocks are beginning to reverse their 10-week... READ MORE
Today, I had a plethora of results from my DP Diamond Scan - 83, to be exact! So it took me a bit longer to find today's diamonds, as I studied not only the daily and weekly charts but also seasonality in order to pare down to the... READ MORE
COMMUNICATIONS SPDR HAS STRONG DAY...While healthcare and financials have been leading for most of the day, communication stocks have crept into second place in afternoon trading. Chart 1 shows the Communication Services SPDR (XLC) bouncing impressively off its 50-day average that it cleared just last week. It's... READ MORE
MAJOR STOCK INDEXES BUILD ON RECENT GAINS...After a modest pullback yesterday, major U.S. stock indexes are building on last week's trade-inspired gains. Chart 1 shows the Dow Industrials trading at the highest level of the month this morning. The Dow appears headed toward the top of... READ MORE
JPM did not disappoint Wall Street. The Street had been "banking" on a solid report, as evidenced by its solid relative performance to its banking peers and to the benchmark S&P 500. And wow did they get it! JPM reported revenues of $30.06 billion and... READ MORE
Our rules-based trend following model is the foundation for three different money management strategies. This article will introduce you to two of them. Our model uses a weight-of-the-evidence approach to measure the strength of up-trends in the U.S. equity markets and is primarily focused on the Nasdaq Composite Index... READ MORE
In today's Diamond Report, I decided to look at only three stocks as I want to discuss not only their daily charts, but their weekly charts as well. Seeing strength in both timeframes can provide the option to trade in the shorter term or in the longer term.... READ MORE